New Albany Council To Discuss Revised Rate Increase Plan
by Gabe BullardA sewer rate increase could pass the New Albany City Council next month, but the proposal for raising rates is still being revised.An analyst's report issued last month recommended a 70% sewer rate increase to fund infrastructure improvements and payments on projects to the state revolving loan program. The council rejected that proposal, and since then, several new plans for raising the money have been put forward.Council president John Gonder says the latest proposal uses tax increment financing to alleviate the burden of a rate increase on sewer customers."These TIF areas that happen to coincide with needed projects, what will happen is, the TIF money will be used to pay the interest that is in that state revolving loan program," says Gonder.The proposal also calls for an approximately 63% rate increase over five years, with an initial increase of 20%. The council will hold a work session Wednesday to review the plan, and Gonder says it could clear the council by mid-April.